ONGWEDIVA – Youth minister Erastus Uutoni has urged the young people to make use of the Development Bank of Namibia’s skills-based funding lending facility in order to create employment for themselves and others. The DBN lending facility assists young businesspeople with loans between N$50 000 and N$1 million.
The fund targets both vocational and professional graduates in various courses. Uutoni, who was speaking at an engagement with the youth at Ongwediva yesterday, said a budgetary allocation of N$80 million during this current financial year has been allocated towards the fund. An additional N$70 million has also been allocated for unforeseen circumstances to save those whom after acquiring the loan struggle to keep up in the business. DBN’s Tomas Kalimbo said the bank has received 30 applications thus far. Uutoni said the fund was created to aid in fighting poverty amongst the youth. “In the past years, graduates had a lot of challenges. They had the skills but lacked funds to startup businesses. The government will provide the money without collateral because collateral has been a challenge for graduates to receive funds,” said Uutoni. Uutoni stressed that 80% of the fund is solely allocated to youth under 35 years old, while the 20% is reserved for those aged above 40.
The minister encouraged those who will seek loans from the development bank to work tirelessly to create an income that is viable to repay the loan. He stressed that it remains imperative that such money is paid back so that it continues to assist more people in the coming years. He further implored prospective business people to ensure that they employ people in their businesses in order to reduce the employment burden on government. Shedding light on the 121 enterprises which were introduced last year, Uutoni said the business plans which were submitted are currently with DBN for finance.
-nashipala@nepc.com.na